Save Article

The Alternative Option for Sears Investors

Given his track record as chairman of Sears Holdings, many investors have lost faith in Edward Lampert's retailing prowess. But they might want to try siding with him as a trader.

The struggling retail chain's shares fell 53% in 2011, as its sales remained in freefall and investors grew concerned about its debt load. But while the company's fundamentals remain weak, the stock already has gained back those losses and more this year. A big reason: Many short sellers threw in the towel when the market rallied.